Maersk Resumes Suez Canal Routes for MECL Service

• The Suez Canal route, which previously accounted for about 10% of global seaborne trade, is the fastest link between Europe and Asia
• Shipping companies diverted vessels around Africa for over two years following Houthi rebel attacks in the Red Sea, which the group said were in solidarity with Palestinians in Gaza
• The Gaza ceasefire, in place since October, has reduced major combat but both sides report regular violations, with over 440 Palestinian and three Israeli soldier deaths since the truce

Maersk Resumes Suez Canal Routes for MECL Service

Danish shipping giant Maersk announced Thursday it will resume Red Sea and Suez Canal sailings for its MECL service, which connects the Middle East and India with the U.S. East Coast. The company described this as part of a "stepwise approach" toward structural return to the trans-Suez route.

Key Timeline: The route change takes effect with a sailing departing Salalah, Oman on January 26. This follows a Monday test voyage that successfully navigated the previously disrupted corridor.

Background: Shipping companies abandoned the Suez Canal route over two years ago due to attacks by Yemeni Houthi rebels on vessels in the Red Sea. The Houthis claimed the attacks demonstrated solidarity with Palestinians in Gaza. This forced carriers to reroute around Africa, significantly increasing journey times and costs.

Market Significance: The Suez Canal represents the fastest route between Europe and Asia, historically accounting for approximately 10% of global seaborne trade, according to Clarksons Research. The disruption severely impacted the critical Asia-Europe trade corridor.

Catalyst for Change: A Gaza ceasefire implemented in October has raised hopes for normalized Red Sea shipping traffic. The truce ended major combat operations over the past three months, though both sides report regular violations. More than 440 Palestinians and three Israeli soldiers have died since the ceasefire began.

Industry Implications: Maersk's decision signals growing confidence in Red Sea security and could prompt other major carriers to resume Suez Canal routes, potentially reducing shipping costs and transit times for global trade. The move marks a significant step toward restoring normalcy to international maritime logistics.